Monday, 7 December 2015

Industries

Last week I looked here at how Australia's economy or Gross Domestic Product (GDP) grew by a seasonally adjusted 2.5 per cent in the year to September 2015.

Seasonally adjusted GDP increased by 0.9 per cent in the third quarter to $411.6 billion to be 2.5 per cent higher over the year.

As shown by the chart below, manufacturing has staged something of a fightback over the past two quarters, but unfortunately gross value added by the industry in chain volume measures terms has shrunk over the past year.

Over the year agriculture has also struggled.

Fortunately other industries were able to more than compenstae for the declines, with financial and insurance services a notable standout, contributing $141 billion or about 9 per cent of GDP.

The construction industry has also staged a fightback following four consecutive quarters of decline from March 2014, as the housing construction boom has hit its straps.